Highlights From the FINRA Foundation National Financial Capability Study
Financial Capability in the United States
Demographic Differences in Financial Capability
Consistent with previous waves, data from the 2021 NFCS reveal differences in financial capability among
demographic groups. 4 Younger respondents, those with lower incomes, those with lower education levels, and
Black/African American and Hispanic/Latino respondents continue to show higher levels of vulnerability across
multiple measures of financial capability.
The percentage of respondents who reported having an unexpected income drop in the past year correlates
negatively with age. Respondents 54 or younger were more than twice as likely as those 55 and older to
report having an income drop.
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While not as large as the differences by age, there are also notable disparities by race/ethnicity
and education in the likelihood of respondents to have experienced an income drop. Black/African
American and Hispanic/Latino respondents were nine percentage points more likely than white
respondents to report an unexpected income drop. A similar gap exists between those with no college
education and college graduates.
By race/ethnicity
White
Black/Afr. Amer.
Hispanic/Latino
Have experienced an unexpected income drop
By age
18-34
35%
35-54
30%
55+
14%
By education
23%
HS or less
29%
32%
Some college
27%
32%
College or more
20%
Asian/Pac. Isl.
21%
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Highlights From the FINRA Foundation National Financial Capability StudyView entire presentation